Credit cards leads you into a false sense of security. When they offer you a 0% interest rate over a period of 3,6 even 12 months, then when the low interest period is finished they hit you with higher credit card rate, which can be anywhere between 9 to 30% or more.

When using your credit card and paying the minimum every month can only cause more problems. Paying the minimum payment barely decreases the amount off the balance. This is due to the amount of interest charged to the card after the payment is made. Also if you keep on spending, you will soon find yourself with a big bill and a bigger minimum payment every month. But you can get control of debt.

When you eventually realise that your debt is getting away from you and managing your bills is not as easy as it used to be. You try to get a bank loan or get another credit card to pay off the old card. At this point you see that this is a downward spiral and you just find yourself with more debt. But you can get control of debt with a list.

To get control of your debt you need to know the monthly income and expenses. Make a list of everything that comes in and out each month.

Here's an example of a list you might want to use. At the end of the expenditure list calculate all of your outgoing and compare them to your income. You will then get a realistic amount of what cash you have available at the end of the month. So you can get control of debt.

Income per Month:

Salary

Other Income

Outgoing per Month:

House or Rent Payment

Car Payment Credit cards and other loans

Savings

Household and Auto Insurance

Food and Household Goods

Clothes and Dry cleaning

Gas

Utility Bills

Telephone (including mobile)

Health and Life Insurance

Prescriptions Public transportation

Car maintenance

Children's education (Meals, Uniform, Trips or Nursery fees)

Gym or Club Membership

Pets (food, Vet bills)

Hobbies

Misc.

Monthly Outgoing Total:

You will be surprised on what you can save on when you cut back. You need to take a look at what you really need and what you want. It is easy to save money on things you don't really need. Take a good look at the item you are going to buy and ask yourself do you really need it? Maybe you could get by with only half of what you need.

You just need to make a list of your wants and your needs, once you have the list you can work on one thing at a time. So you can get control of debt and get on the fast track out of debt. You can live debt free it's not that hard, you can do it.